> There are huge advantages
What are they?
What are they?
In this case, you also forget that the pricing signals have a time horizon, which is bounded by the expected time of survival of the private company being non-competitive. But government (society) can take a longer term view than a company that is influenced by pricing signals, See the LG example I gave elsewhere in this thread.
Another reason is incomplete information. Free market works in theory because you assume complete information; in the real world, this is not the case.
It's not a theory. Firms trade internationally because it's cheaper, not because they "believe" in free markets.
> But government (society) can take a longer term view than a company that is influenced by pricing signals
Private markets routinely make multi-decade bets; entire industries (mining, energy, infrastructure, biotech) work on 20–100 year horizons. Risk and time are already priced in.
> Free market works in theory because you assume complete information
Free markets don’t "assume" anything; they function through decentralized price signals. And even with imperfect information, dispersed actors still aggregate and react to knowledge far better than any central planner can.